Starting smart: What every small business owner needs to know first

For many entrepreneurs, the journey begins with a spark—an idea, a passion or a defining life moment. For me, it started with loss.

In 2019, after my mother passed away, I made her a promise: I’ll write the book. That promise became more than a personal goal, it grew into a business rooted in becoming an eight-time award-winning published author — speaking, podcasting, coaching and consulting. Like many small business owners, my path wasn’t linear. It was built step by step, with research, guidance and a willingness to learn.

My story reflects a larger trend. According to the U.S. Census Bureau, more than five million new businesses were launched in 2025. Yet only about 65% of small businesses become profitable. The message is clear: starting a business is more accessible than ever, but building a successful one takes preparation and persistence.

Start with research—not just passion

Passion is important, but it’s not enough on its own. “Do your research,” advises a representative from Investor.gov. “You may have a bright idea, but before you invest money, make sure it’s viable.”

That means asking hard questions: Is this a true passion or just an interest? Do you have the time and financial stability to pursue it? Is the timing right?

Timing, in particular, can shape the entire experience. In my case, reduced work hours during the pandemic created an unexpected opportunity to build something new.

Understanding your market is just as critical. Who are your competitors? What makes your idea different? Tools like a SWOT analysis—evaluating strengths, weaknesses, opportunities and threats—can provide a realistic snapshot before you commit.

Build the right foundation

Once your idea is validated, it’s time to make it official. That includes choosing a business name, registering it and selecting a structure that fits your goals.

“Make sure your name is available, not just legally, but online,” says David York, managing partner of York Howell. “That includes checking domain names and social media handles.”

Next comes the operational setup: securing an Employer Identification Number (EIN), registering with your state, and opening a dedicated business bank account. Keeping personal and business finances separate isn’t just good practice—it’s essential.

Tony Wolff of Wolff & Company puts it simply: “Set up your financial system early. It will save you and your tax advisor a lot of stress later.”

Know your money habits

Your personal relationship with money doesn’t disappear when you start a business—it follows you.

“How you handle money personally will carry over into your business,” says financial coach Sara Fernandes. “Whether you rely on cash, debit or credit, understanding your habits can help you avoid costly mistakes.”

She also emphasizes consistency over complexity: “Set aside time weekly to track expenses and send invoices. Don’t let it pile up.”

Your brand is your first impression

In today’s digital marketplace, your online presence often determines whether a customer engages with your business.

“Don’t wait for your website to be perfect before you launch it,” says Promise Tangeman, owner of GoLive. “Get it live and improve it along the way.”

Clarity matters. Visitors should quickly understand what you offer and who you serve. And when it comes to growth, Tangeman advises focus over reach: “Most people chase reach—the real leaders chase depth. 

That same strategy applies to social media. Choose platforms you can maintain consistently and build trust over time.

Protect yourself and communicate clearly

Legal and operational safeguards are essential, even if they’re not the most exciting part of entrepreneurship. Permits, licenses, insurance and contracts all protect your business.

“Communicate, communicate, communicate,” York emphasizes. Clear contracts outlining services, pricing and expectations can prevent issues before they arise.

Getting your first customers

Marketing often starts small. Networking, community involvement and word-of-mouth remain powerful tools.

“Marketing is what you say; branding is what they feel,” says Susan Carlson, owner of Redrig gaming truck. “Make that first feeling count.”

Simple strategies—like creating a Google business profile, joining a local Chamber of Commerce, or building an email list—can help establish visibility and trust.

Progress over perfection

If there’s one common thread in entrepreneurship, it’s this: success doesn’t come from having everything figured out. It comes from starting, learning and continuing forward.

The journey may feel overwhelming at times, but every business begins with a single step. And sometimes, it begins with a promise, and the courage to follow through.

Learn more from some of these small business owners and others on Holly’s Highlights podcast, available wherever you stream podcasts and at www.HollyCurby.com.